Considering Problem $1($above problem$),$ The monthly demand for Qs is $40000$ units, for Zs is $20000$ whereas that for Ws is $80000.$ Qs cost the company TL$800,$ Zs cost TL $600,$ and Ws cost TL $200$ and the company has a holding cost of $12$ percent.

Now, THK Flight School has to place separate orders with ABC, XYZ$,$ and PRS and receive separate shipments. The fixed cost of each shipment is TL$30,000.$ In the case of combining orders TL$900$ of cost is added to the fixed cost for each.

What is the optimal order size and order frequency with each of the companies? $(7$ pts$)$

The company thinks of combining all parts with the same contract manufacturer. This will allow for a single shipment of all products from Europe. What is the optimal order frequency and order size from the combined

orders? $(8$ pts$)$

What is the optimal order frequency and order size form a tailored aggregation? $(10$ pts$)$

How much reduction in cycle inventory can the company expect as a result of these alternatives? $(5$ pts$)$